Genoil Inc.
TSX VENTURE : GNO
OTC Bulletin Board : GNOLF

Genoil Inc.

April 15, 2010 07:50 ET

CORRECTION FROM SOURCE: Genoil Announces Acceptance of Patent for Sand Decontamination Process and Provides a Shareholder Update on Its Activities

CALGARY, ALBERTA--(Marketwire - April 15, 2010) - The following document corrects and replaces the release sent today at 6:00am ET for Genoil. The Forward Looking-Statements at the bottom of the press release was omitted. The complete and corrected release follows.

Genoil (TSX VENTURE:GNO)(OTCBB:GNOLF) is pleased to announce that the USPTO has accepted a patent for the reactor of the sand decontamination process. The sand decontamination system has also been patented recently and the two patents form a valuable addition to the intellectual property of Genoil. The reactor plays a key role in the sand decontamination process and its features are designed to effectively remove of oil from sand, separate oil from sand and water and recover the oil in the reactor for reuse. An innovative method is utilized for extracting oil from sand and removing the oil from the path of the sand.

Also novel is the formation of a blanket of sand of controlled thickness at the bottom of the reactor in order to minimize the carryover of contaminants between adjacent reactors There is a significant reduction of the amount of water that is being transferred upstream by way of an entirely innovative approach in conveying sand from a reactor to the adjacent one. The reactor is designed to effectively operate at relatively low temperatures resulting in important savings in energy. The reactor also operates in conjunction with means for removing oil and dissolved contaminants to very low levels in order to meet the most stringent environmental standards. Based on Genoil's previous experience with the sand washing system of Bear Trap, Alberta , the newly patented reactor and the original approach in sand decontamination should place the technology at the forefront of current efforts to clean and protect the environment.

This patent and process can commercially clean sand on beaches from oil spills and major presentations of this technology at very high levels are now being presented. Some of the contamination for these spills span hundreds of miles of beaches presenting huge opportunities for Genoil.

Genoil is also pleased to update shareholders on its marketing and sales efforts. At the present time intensive efforts are being made in the Middle East, Africa, the Caribbean, Canada, and Asia to market the GHU Upgrader and Crystal Sea Bilge Cleaning Units for ports. Agents that are not performing are being changed and new agents are being signed up to accelerate our efforts to roll out the technologies. At the present time David K. Lifschultz, the CEO, is spending most of his time marketing these technologies in the Middle East and Africa, and much progress is being made.

The market potential for the GHU is 900 billion barrels of heavy oil reserves where presently only nine million barrels a day of this oil is coming out of the ground, or 3.5 billion barrels a year. Oil is a hydrocarbon and it is composed of both hydrogen which is the light element and carbon which is the heavy element. When heavy oil burns it gives off excessive smoke from the high percentage of carbon element that is environmentally unfriendly and it is presently is being burned for the most part without upgrading as bunker fuel by ships on the seas and in certain countries that have not adopted stringent environmental standards. In addition, most of these heavy oil reserves contain sulfur which characterizes it as sour.

The Genoil GHU Upgrader has been designed to remove 99.5% of the sulfur as shown in its last tests while lightening the oil at the same time significantly raising its API. In the Jan. 12, 2009 press release cost model based on the data from December 8 during the height of the crash showed a margin of profit over $15.00 with a 30% IRR. That $15.00 was the low point in relation to the historical margins during the period that oil was over $100.00 WTI. International regulations will soon require bunker fuel to be upgraded and desulfurized out of deep environmental concerns.

The Genoil Upgrading Process yields zero waste and consumes no external energy or hydrogen deriving its hydrogen and energy from its own residue. The cost structure is therefore much lower than standard upgrading processes in hydrogenation and does not give off a waste byproduct as coking of 30%.

Upgrading heavy oil is essentially a very undeveloped industry in relation to the 900 billion barrels of heavy oil reserves as most of the oil presently coming out of the ground is light to the tune of 76 million barrels a day, or 27.5 billion barrels a year being consumed. It is readily seen that even if you allow for new oil discoveries and further advances of recovery through technological enhancements in field recovery, the time limit for this light oil reserve will last no more than twenty or thirty years. But as it declines in its base the ability to pump its present 76 million barrels a day declines potentially creating a world crisis from high prices.

Genoil is aggressively marketing this technology to those countries and companies that have these substantial heavy oil reserves as peak oil in light oil already has arrived in our estimation, and a move developing and upgrading heavy oil is around the corner. The potential of this industry is greater when you calculate 900 billion barrels of heavy oil reserves based on margins of say $30.00 per barrel than the Internet technology sector.

Genoil is making presentations at the highest levels for both the Crystal and GHU Upgraders to countries and companies in Asia, North and South America, Turkey, the Middle East, and Africa among others so that it will be in the position benefit during the transition to heavy oil which it regards as occurring in the very near future. Planning has to be done well in advance to effectuate this change and that should start almost immediately.

Also, there is greater urgency to do this as many of the light oil reserves are in precarious regions of the world which puts the world economy at risk, and we suggest the reader review the Energy Risk Conference Keynote Address by David K. Lifschultz, the CEO of Genoil, that can be found under technology at the genoil.ca website.

FORWARD LOOKING STATEMENTS

Certain information regarding Genoil, including availability of capital and other sources of funds and future plans may constitute forward-looking statements under applicable securities law. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "hope", "plan", "continue", "estimate", "expect", "may", "will", "intend", "could", "might", "should", "believe" and similar expressions. Forward-looking statements are based upon the opinions, expectations and estimates of management as at the date the statements are made and, in some cases, information received from or disseminated by third parties, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward-looking statements. Forward looking statements contained in this release necessarily involve risks and uncertainties associated with an oil and gas technology development and engineering corporation. As a consequence, actual results may differ materially from those anticipated. Accordingly, readers should not place undue reliance upon forward-looking information contained herein. Although Genoil believes that the assumptions underlying such forward looking statements are reasonable given current market conditions, and information received or disseminated by third parties is reliable, it can give no assurance that such expectations will prove to have been correct. Genoil does not assume responsibility for the accuracy and completeness of the forward-looking statements and such forward-looking statements should not be taken as guarantees of future outcomes. Subject to applicable securities laws, Genoil does not undertake any obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. The forward-looking statements contained in this press release are expressly qualified, in their entirety, by this cautionary statement. Additionally, statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Further information on potential risk factors that could affect Genoil s financial results can be found in Genoil s disclosure materials filed on SEDAR at www.sedar.com and with the Securities Exchange Commission available at www.sec.gov.

ADVISORY: The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

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